4 FAQs about Ethiopia Power Plant Energy Storage Equipment Retrofit Plan

Does Ethiopia have a stable electricity supply?

In recent years, Ethiopia's power system has faced increasing challenges in maintaining a stable elec-tricity supply. Frequent power interruptions have several negative consequences, such as: Disruptions in production and delays. Limited benefits for end-users who rely on a stable electricity supply.

Who owns power plants in Ethiopia?

Currently, all operational power plants in Ethiopia are under the state-owned EEP. Future investments in hydro, wind, solar, and geothermal projects is planned to have private ownership, with EEP acting as the primary electricity purchaser. Solar PV IPP auctions were announced in February 2025, with a total capacity of 225 MW in Gad and Weransso.

Are there roof-top solar PV systems in Ethiopia?

Currently, there are practically no roof-top solar PV systems in Ethiopia. With the planned increase in the tariff, many households and businesses may find it attractive with small individual solar PV sys-tems. Individual solar PV systems will often send power back to the grid, e.g. during mid-day, where generation is high, and demand may be low.

Why are Ethiopian Electric Utility and EEP limiting access to electricity?

The Ethiopian Electric Utility (EEU) and Ethiopian Electric Power (EEP) have struggled with outdated infrastructure, frequent power outages, and high losses, further limiting access.

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